boe inflation report this morning ahead of retail sales 604662015
<p>The global bond markets continue to dominate FX markets, with the German 10 year Bund rally leading global yields and the Euro higher as investors […]</p>
Share this:
The global bond markets continue to dominate FX markets, with the German 10 year Bund rally leading global yields and the Euro higher as investors question if this is a change in recent market sentiment and that the reflation trade is actually a significant possibility, or is the bullish price action nothing more than a position adjustment.
The NZD was again in focus in the Asian session following the ‘birds’ recent poor performance as the market prices in RBNZ rate cuts to stimulate the inflation picture. The RBNZ financial stability report caught a bearish market on the back foot as the report failed to adopt any solid macro-prudential measures aimed at cooling the Auckland housing market, as the language on the NZD was seemingly softened with the removal of ‘unjustified’ from the statement to describe the currency strength.
The UK will take centre stage this morning with labour market data and in particular wage growth data released at 9.30am this morning. However, all eyes will be on the quarterly inflation report at 10.30am to see whether the BoE will signal a more hawkish tone to that of the February report, although the recent data suggests the MPC will refrain from sounding overly hawkish.
US retail sales will be the highlight of the session and possibly the week as investors will look to the data to give further evidence that a US Q2 growth bounce back is materialising following a mixed labour report last Friday.
EUR/USD
Support 1.1130-1.1055-1.0965 | Resistance 1.1285-1.1400-1.1530
USD/JPY
Support 119.00-118.20-117.50 | Resistance 120.60-121.55-122.00
GBP/USD
Support 1.5290-1.5150-1.5070 | Resistance 1.5725-1.5785-1.5875
Related tags:
Open an account in minutes
Experience award-winning platforms with fast and secure execution, and enjoy tight spreads from 0.5 pts on FX and 0.3 pts on indices.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
StoneX Financial Pte. Ltd. is not under any obligation to update this report.
Trading CFDs carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit www.forex.com/en-sg/terms-and-policies for the complete Risk Disclosure Statement.